鲜花( 0) 鸡蛋( 0)
|
Let's make an easy example.
+ Z C" f. W: R9 o! a- K& @% @ {" s7 g$ Y- | @- e: Q
Suppose one person bought a house worth 100,000 last year. It's a two bedroom style.! E2 U6 b# y% F& `1 X
After one year, he or she decided to sell it out.
7 s) e! p5 Z5 ^0 ]1 B
' ?* F# a$ X' s) s# ZCost (expense):
- L, X4 d$ g& j; C% zBusiness tax: 5%*100,000=5000 (please verify)
% }- J9 K) W& C* x( I8 d. F6 ^+ y" l; O2 c
Mortgage interest: 5%*100,000=5000 (not only the loan interest you pay the bank, but the interest of inital payment of house should also be accrued)' q' L6 \) q7 p% F3 r
( m- K4 c2 Z0 A4 n7 jEstate agent fee: 1%*100,000=1000 (this part is neglected in previous statement)9 H z* a' ~! @* F4 a3 `
+ H2 Z6 M9 c, O; f1 u* e! e' h6 ]. @
Real estate management fee: 250*12=3000
' B# T) {8 G: h4 L/ n7 r/ gTotal cost: 14000" R* G1 s& q# P3 |! T1 D( Y- J
! ~, [ K* v0 `2 E5 @2 `4 V7 S# u
Benefit:1 q7 m+ P% h% ]; b* c) N
The saved rental: 350*12=42007 }# ?" t3 v5 k# U& p& v& }
The rental income from tenant: 350*12=4200
% i" C. e. G1 C2 `9 f8 X+ {3 N8 _3 e6 q6 Y
Value increase: 100,000*6%=6000
9 v; H! {! O4 H+ {- C% P$ Y, k# `, w: C6 J7 D
Total benefits: 144003 S, G( H) \9 b; h6 J2 N2 Y
So if both purchasing and selling transactions are conducted in one year, just slight gain could be achived. So the edmonton estate market is not worthwhile for short term investment
, o9 l: d/ I' E+ |$ `" K
( d$ L9 @# U& |+ d* }! f[ Last edited by knptmug on 2005-3-8 at 07:45 PM ] |
|